Stocks fell more than 2 percent on Thursday, as mounting evidence of a global economic slowdown seemed to sink in for investors, The Washington Post reported yesterday. The Dow Jones industrial average dipped nearly 2 percent, shedding 251 points to close at 12,573.57. Adding to the grim mood, Moody’s downgraded 15 major banks, citing concerns about the global economy. Among the institutions downgraded were JPMorgan Chase, Goldman Sachs and Bank of America. The move could damage the profits of these banks in the short term and raise their borrowing costs. Perhaps more significantly, the decision by Moody’s raises uncertainty about the long-term health of the banking system.
